ENGIE, a leader in low-carbon energy solutions, has been awarded a 400 MW solar project from Gujarat Urja Vikas Nigam (GUVNL) in the 750 MW GUVNL Phase (XVI) auction process with an estimated investment of around $200 million. ENGIE secured its position as a favored bidder with a 25-year Power Purchase Agreement (PPA) signed with GUVNL, the project is estimated to generate 907 gigawatt-hours of electricity while avoiding 774,112 tons of carbon emission annually. This project once commissioned will take ENGIE’s total renewable portfolio in India to 1.5 GW, with 18 projects across 7 states.
In Gujarat, this will be ENGIE’s third renewable project following the commissioning of a 200 MW solar project in Raghanesda in August 2021 and a 29.9 MW wind project in Tithva in 2019. The project is presently in the construction phase, with the Final Investment Decision (FID) already made. It is anticipated to be operational by the second quarter of 2024. This successful FID decision is a significant milestone for ENGIE and showcases our potential to accelerate the development of our renewable energy portfolio and achieve our global target of adding 4 GW of capacity per year by 2025, taking our global installed capacity to 50 GW. The FID decision is a crucial stage in the development of a project, marking the point at which a project sponsor or investor decides to commit funds to a particular project, and it's the final stage of project development before construction or implementation begins.
Speaking on the achievement, Amit Jain, Managing Director, ENGIE India, remarked, "We are optimistic about many such future milestones of ENGIE. This award is a testament to ENGIE's commitment to supporting India with its plan for energy transition and achieving its 500 GW clean energy goals by 2030. The transition towards sustainable energy sources is a crucial prerequisite for bringing about lasting change in consumption patterns, and ENGIE has emerged as a dynamic player in this field.”
It has been informed that ENGIE plans to further expand its energy storage capabilities and also aims to provide innovative energy solutions to its customers in India. It is committed to playing a leading role in India's energy transition by collaborating with local partners and stakeholders to develop sustainable energy solutions. This includes working closely with the government, policymakers, and regulators to create an enabling environment for the growth of renewable energy in India.